North Carolina Down Payment Assistance Programs

Payments Gateway - These systems are the Down Payment Assistance Program along with the Mortgage Credit Certificate.

You also buy a house between December 1, 2009 and January 1, 2009 and if you qualify for one of these plans, you might also be eligible for the $8,000 tax credit merely enacted into law.

First, who is a First Time Home Buyer? A first-time Home Buyer is someone who hasn't owned a house in the previous three years. Here is the same qualifying definition for the $8,000 tax credit.

A Mortgage Credit Certificate (MCC) is a federal tax credit to help home buyers with low and moderate incomes. The MCC takes this a step farther.

It is possible to claim 20% of the interest you pay as a credit on your federal income taxes in case you qualify for the MCC. You are able to save around $2,000 on your taxes.

You may be able to unite this with the $8,000 tax credit should you qualify for the MCC, for 2009. This would reduce a buyer's tax liability .

Who qualifies for an MCC is based on the price of the property along with your income you're buying. Household income means the “gross income of the mortgagor and every other person anticipated to live in the home who's 18 years of age or older.”

The income and house price limits Durham and Chatham Counties are listed below.

MCC Income Limitations 1 Individual $61,500 2 Men $61,500 3 Individuals $70,500 4 Persons $70,500

MCC Sales Price Limits New Dwelling $220,000 Existing Residence $210,000

Who Qualifies for Down Payment Help?

Home buyers that want help with their deposit and closing costs might be able to get down payment assistance - or, to put it differently, interest-free, deferred second mortgages up to $8,000. The buyer only needs to pay and the load would pay around $8,000 of the remaining balance.

This program has stricter income limits than the MCC program outlined above. Like the MCC application, it may be used along with all the new $8,000 tax credit on house purchases between January 1, 2009 and December 1, 2009. The deposit assistance, however, cannot be utilized in combination with all the MCC. This is an either or scenario.

The income and house price limitations that apply in Durham Orange and Chatham Counties are given below.

Down Payment Assistance Income Limitations

1 Man $39,950 2 Persons $45,650 3 Men $51,350 4 Individuals $57,050

Down Payment Support Sales Cost Limits New Home $210,000 Existing Dwelling $210,000